Senate Bill 2018

AN ACT TO AMEND SECTION 41-7-191, MISSISSIPPI CODE OF 1972,
TO AUTHORIZE THE ISSUANCE OF A HEALTH CARE CERTIFICATE OF NEED FOR NURSING
FACILITY BEDS TO A NONPROFIT SKILLED NURSING FACILITY CONSTRUCTING A
"GREEN HOUSE MODEL" CAMPUS TO BE LOCATED IN YAZOO CITY, MISSISSIPPI;
AND FOR RELATED PURPOSES.

41-7-191.
(1) No person shall engage in
any of the following activities without obtaining the required certificate of
need:

(a)
The construction, development or other establishment of a new health
care facility;

(b)
The relocation of a health care facility or portion thereof, or major
medical equipment, unless such relocation of a health care facility or portion
thereof, or major medical equipment, which does not involve a capital
expenditure by or on behalf of a health care facility, is within five thousand
two hundred eighty (5,280) feet from the main entrance of the health care
facility;

(c)
Any change in the existing bed complement of any health care facility
through the addition or conversion of any beds or the alteration, modernizing
or refurbishing of any unit or department in which the beds may be located;
however, if a health care facility has voluntarily delicensed some of its
existing bed complement, it may later relicense some or all of its delicensed
beds without the necessity of having to acquire a certificate of need. The State Department of Health shall
maintain a record of the delicensing health care facility and its voluntarily
delicensed beds and continue counting those beds as part of the state's total
bed count for health care planning purposes.
If a health care facility that has voluntarily delicensed some of its
beds later desires to relicense some or all of its voluntarily delicensed beds,
it shall notify the State Department of Health of its intent to increase the
number of its licensed beds. The State
Department of Health shall survey the health care facility within thirty (30)
days of that notice and, if appropriate, issue the health care facility a new
license reflecting the new contingent of beds.
However, in no event may a health care facility that has voluntarily
delicensed some of its beds be reissued a license to operate beds in excess of
its bed count before the voluntary delicensure of some of its beds without
seeking certificate of need approval;

(d)
Offering of the following health services if those services have not
been provided on a regular basis by the proposed provider of such services
within the period of twelve (12) months prior to the time such services would
be offered:

(viii) Nursing home care as defined in subparagraphs (iv), (vi) and
(viii) of Section 41-7-173(h);

(ix) Home health services;

(x) Swing-bed services;

(xi) Ambulatory surgical services;

(xii) Magnetic resonance imaging services;

(xiii) Extracorporeal shock wave lithotripsy
services;

(xiv) Long-term care hospital services;

(xv) Positron Emission Tomography (PET) services;

(e)
The relocation of one or more health services from one physical facility
or site to another physical facility or site, unless such relocation, which
does not involve a capital expenditure by or on behalf of a health care
facility, (i) is to a physical facility or site within one thousand three
hundred twenty (1,320) feet from the main entrance of the health care facility
where the health care service is located, or (ii) is the result of an order of
a court of appropriate jurisdiction or a result of pending litigation in such
court, or by order of the State Department of Health, or by order of any other
agency or legal entity of the state, the federal government, or any political
subdivision of either, whose order is also approved by the State Department of
Health;

(f)
The acquisition or otherwise control of any major medical equipment for
the provision of medical services; provided, however, (i) the acquisition of
any major medical equipment used only for research purposes, and (ii) the
acquisition of major medical equipment to replace medical equipment for which a
facility is already providing medical services and for which the State
Department of Health has been notified before the date of such acquisition
shall be exempt from this paragraph; an acquisition for less than fair market
value must be reviewed, if the acquisition at fair market value would be
subject to review;

(g)
Changes of ownership of existing health care facilities in which a
notice of intent is not filed with the State Department of Health at least
thirty (30) days prior to the date such change of ownership occurs, or a change
in services or bed capacity as prescribed in paragraph (c) or (d) of this
subsection as a result of the change of ownership; an acquisition for less than
fair market value must be reviewed, if the acquisition at fair market value
would be subject to review;

(h)
The change of ownership of any health care facility defined in
subparagraphs (iv), (vi) and (viii) of Section 41-7-173(h), in which a notice
of intent as described in paragraph (g) has not been filed and if the Executive
Director, Division of Medicaid, Office of the Governor, has not certified in
writing that there will be no increase in allowable costs to Medicaid from
revaluation of the assets or from increased interest and depreciation as a
result of the proposed change of ownership;

(i)
Any activity described in paragraphs (a) through (h) if undertaken by
any person if that same activity would require certificate of need approval if
undertaken by a health care facility;

(j)
Any capital expenditure or deferred capital expenditure by or on behalf
of a health care facility not covered by paragraphs (a) through (h);

(k)
The contracting of a health care facility as defined in subparagraphs
(i) through (viii) of Section 41-7-173(h) to establish a home office, subunit,
or branch office in the space operated as a health care facility through a
formal arrangement with an existing health care facility as defined in
subparagraph (ix) of Section 41-7-173(h).

(2)
The State Department of Health shall not grant approval for or issue a
certificate of need to any person proposing the new construction of, addition
to, or expansion of any health care facility defined in subparagraphs (iv)
(skilled nursing facility) and (vi) (intermediate care facility) of Section 41-7-173(h)
or the conversion of vacant hospital beds to provide skilled or intermediate
nursing home care, except as hereinafter authorized:

(a)
The department may issue a certificate of need to any person proposing
the new construction of any health care facility defined in subparagraphs (iv) and
(vi) of Section 41-7-173(h) as part of a life care retirement facility, in any
county bordering on the Gulf of Mexico in which is located a National
Aeronautics and Space Administration facility, not to exceed forty (40)
beds. From and after July 1, 1999,
there shall be no prohibition or restrictions on participation in the Medicaid
program (Section 43-13-101 et seq.) for the beds in the health care facility
that were authorized under this paragraph (a).

(b)
The department may issue certificates of need in Harrison County to
provide skilled nursing home care for Alzheimer's disease patients and other
patients, not to exceed one hundred fifty (150) beds. From and after July 1, 1999, there shall be no prohibition or
restrictions on participation in the Medicaid program (Section 43-13-101 et
seq.) for the beds in the nursing facilities that were authorized under this
paragraph (b).

(c)
The department may issue a certificate of need for the addition to or
expansion of any skilled nursing facility that is part of an existing
continuing care retirement community located in Madison County, provided that
the recipient of the certificate of need agrees in writing that the skilled
nursing facility will not at any time participate in the Medicaid program (Section
43-13-101 et seq.) or admit or keep any patients in the skilled nursing
facility who are participating in the Medicaid program. This written agreement by the recipient of
the certificate of need shall be fully binding on any subsequent owner of the skilled
nursing facility, if the ownership of the facility is transferred at any time
after the issuance of the certificate of need.
Agreement that the skilled nursing facility will not participate in the
Medicaid program shall be a condition of the issuance of a certificate of need
to any person under this paragraph (c), and if such skilled nursing facility at
any time after the issuance of the certificate of need, regardless of the
ownership of the facility, participates in the Medicaid program or admits or
keeps any patients in the facility who are participating in the Medicaid
program, the State Department of Health shall revoke the certificate of need,
if it is still outstanding, and shall deny or revoke the license of the skilled
nursing facility, at the time that the department determines, after a hearing
complying with due process, that the facility has failed to comply with any of
the conditions upon which the certificate of need was issued, as provided in
this paragraph and in the written agreement by the recipient of the certificate
of need. The total number of beds that
may be authorized under the authority of this paragraph (c) shall not exceed
sixty (60) beds.

(d)
The State Department of Health may issue a certificate of need to any
hospital located in DeSoto County for the new construction of a skilled nursing
facility, not to exceed one hundred twenty (120) beds, in DeSoto County. From and after July 1, 1999, there shall be
no prohibition or restrictions on participation in the Medicaid program
(Section 43-13-101 et seq.) for the beds in the nursing facility that were
authorized under this paragraph (d).

(e)
The State Department of Health may issue a certificate of need for the
construction of a nursing facility or the conversion of beds to nursing
facility beds at a personal care facility for the elderly in Lowndes County
that is owned and operated by a Mississippi nonprofit corporation, not to
exceed sixty (60) beds. From and after
July 1, 1999, there shall be no prohibition or restrictions on participation in
the Medicaid program (Section 43-13-101 et seq.) for the beds in the nursing
facility that were authorized under this paragraph (e).

(f)
The State Department of Health may issue a certificate of need for
conversion of a county hospital facility in Itawamba County to a nursing
facility, not to exceed sixty (60) beds, including any necessary construction,
renovation or expansion. From and after
July 1, 1999, there shall be no prohibition or restrictions on participation in
the Medicaid program (Section 43-13-101 et seq.) for the beds in the nursing
facility that were authorized under this paragraph (f).

(g)
The State Department of Health may issue a certificate of need for the
construction or expansion of nursing facility beds or the conversion of other
beds to nursing facility beds in either Hinds, Madison or Rankin County, not to
exceed sixty (60) beds. From and after
July 1, 1999, there shall be no prohibition or restrictions on participation in
the Medicaid program (Section 43-13-101 et seq.) for the beds in the nursing
facility that were authorized under this paragraph (g).

(h)
The State Department of Health may issue a certificate of need for the
construction or expansion of nursing facility beds or the conversion of other
beds to nursing facility beds in either Hancock, Harrison or Jackson County,
not to exceed sixty (60) beds. From and
after July 1, 1999, there shall be no prohibition or restrictions on
participation in the Medicaid program (Section 43-13-101 et seq.) for the beds
in the facility that were authorized under this paragraph (h).

(i)
The department may issue a certificate of need for the new construction
of a skilled nursing facility in Leake County, provided that the recipient of
the certificate of need agrees in writing that the skilled nursing facility
will not at any time participate in the Medicaid program (Section 43-13-101 et
seq.) or admit or keep any patients in the skilled nursing facility who are
participating in the Medicaid program.
This written agreement by the recipient of the certificate of need shall
be fully binding on any subsequent owner of the skilled nursing facility, if
the ownership of the facility is transferred at any time after the issuance of
the certificate of need. Agreement that
the skilled nursing facility will not participate in the Medicaid program shall
be a condition of the issuance of a certificate of need to any person under
this paragraph (i), and if such skilled nursing facility at any time after the
issuance of the certificate of need, regardless of the ownership of the
facility, participates in the Medicaid program or admits or keeps any patients
in the facility who are participating in the Medicaid program, the State
Department of Health shall revoke the certificate of need, if it is still
outstanding, and shall deny or revoke the license of the skilled nursing
facility, at the time that the department determines, after a hearing complying
with due process, that the facility has failed to comply with any of the conditions
upon which the certificate of need was issued, as provided in this paragraph
and in the written agreement by the recipient of the certificate of need. The provision of Section 43-7-193(1)
regarding substantial compliance of the projection of need as reported in the
current State Health Plan is waived for the purposes of this paragraph. The total number of nursing facility beds
that may be authorized by any certificate of need issued under this paragraph
(i) shall not exceed sixty (60) beds. If the skilled nursing facility
authorized by the certificate of need issued under this paragraph is not
constructed and fully operational within eighteen (18) months after July 1,
1994, the State Department of Health, after a hearing complying with due process,
shall revoke the certificate of need, if it is still outstanding, and shall not
issue a license for the skilled nursing facility at any time after the
expiration of the eighteen-month period.

(j)
The department may issue certificates of need to allow any existing
freestanding long-term care facility in Tishomingo County and Hancock County
that on July 1, 1995, is licensed with fewer than sixty (60) beds. For the purposes of this paragraph (j), the provision of Section
41-7-193(1) requiring substantial compliance with the projection of need as
reported in the current State Health Plan is waived. From and after July 1, 1999, there shall be no prohibition or
restrictions on participation in the Medicaid program (Section 43-13-101 et
seq.) for the beds in the long-term care facilities that were authorized under
this paragraph (j).

(k)
The department may issue a certificate of need for the construction of a
nursing facility at a continuing care retirement community in Lowndes County.
The total number of beds that may be authorized under the authority of
this paragraph (k) shall not exceed sixty (60) beds. From and after July 1, 2001, the prohibition on the facility
participating in the Medicaid program (Section 43-13-101 et seq.) that was a
condition of issuance of the certificate of need under this paragraph (k) shall
be revised as follows: The nursing
facility may participate in the Medicaid program from and after July 1, 2001,
if the owner of the facility on July 1, 2001, agrees in writing that no more
than thirty (30) of the beds at the facility will be certified for
participation in the Medicaid program, and that no claim will be submitted for
Medicaid reimbursement for more than thirty (30) patients in the facility in
any month or for any patient in the facility who is in a bed that is not
Medicaid-certified. This written
agreement by the owner of the facility shall be a condition of licensure of the
facility, and the agreement shall be fully binding on any subsequent owner of
the facility if the ownership of the facility is transferred at any time after
July 1, 2001. After this written
agreement is executed, the Division of Medicaid and the State Department of
Health shall not certify more than thirty (30) of the beds in the facility for
participation in the Medicaid program.
If the facility violates the terms of the written agreement by admitting
or keeping in the facility on a regular or continuing basis more than thirty
(30) patients who are participating in the Medicaid program, the State Department
of Health shall revoke the license of the facility, at the time that the
department determines, after a hearing complying with due process, that the
facility has violated the written agreement.

(l)
Provided that funds are specifically appropriated therefor by the
Legislature, the department may issue a certificate of need to a rehabilitation
hospital in Hinds County for the construction of a sixty-bed long-term care
nursing facility dedicated to the care and treatment of persons with severe
disabilities including persons with spinal cord and closed-head injuries and
ventilator-dependent patients. The
provision of Section 41-7-193(1) regarding substantial compliance with
projection of need as reported in the current State Health Plan is hereby waived
for the purpose of this paragraph.

(m)
The State Department of Health may issue a certificate of need to a
county-owned hospital in the Second Judicial District of Panola County for the
conversion of not more than seventy-two (72) hospital beds to nursing facility
beds, provided that the recipient of the certificate of need agrees in writing
that none of the beds at the nursing facility will be certified for
participation in the Medicaid program (Section 43-13-101 et seq.), and that no
claim will be submitted for Medicaid reimbursement in the nursing facility in
any day or for any patient in the nursing facility. This written agreement by the recipient of the certificate of
need shall be a condition of the issuance of the certificate of need under this
paragraph, and the agreement shall be fully binding on any subsequent owner of
the nursing facility if the ownership of the nursing facility is transferred at
any time after the issuance of the certificate of need. After this written agreement is executed,
the Division of Medicaid and the State Department of Health shall not certify
any of the beds in the nursing facility for participation in the Medicaid
program. If the nursing facility
violates the terms of the written agreement by admitting or keeping in the
nursing facility on a regular or continuing basis any patients who are
participating in the Medicaid program, the State Department of Health shall
revoke the license of the nursing facility, at the time that the department
determines, after a hearing complying with due process, that the nursing
facility has violated the condition upon which the certificate of need was
issued, as provided in this paragraph and in the written agreement. If the certificate of need authorized under
this paragraph is not issued within twelve (12) months after July 1, 2001, the
department shall deny the application for the certificate of need and shall not
issue the certificate of need at any time after the twelve-month period, unless
the issuance is contested. If the certificate
of need is issued and substantial construction of the nursing facility beds has
not commenced within eighteen (18) months after July 1, 2001, the State
Department of Health, after a hearing complying with due process, shall revoke
the certificate of need if it is still outstanding, and the department shall
not issue a license for the nursing facility at any time after the eighteen-month
period. Provided, however, that if the
issuance of the certificate of need is contested, the department shall require
substantial construction of the nursing facility beds within six (6) months
after final adjudication on the issuance of the certificate of need.

(n)
The department may issue a certificate of need for the new construction,
addition or conversion of skilled nursing facility beds in Madison County,
provided that the recipient of the certificate of need agrees in writing that
the skilled nursing facility will not at any time participate in the Medicaid
program (Section 43-13-101 et seq.) or admit or keep any patients in the
skilled nursing facility who are participating in the Medicaid program. This written agreement by the recipient of
the certificate of need shall be fully binding on any subsequent owner of the
skilled nursing facility, if the ownership of the facility is transferred at
any time after the issuance of the certificate of need. Agreement that the skilled nursing facility
will not participate in the Medicaid program shall be a condition of the issuance
of a certificate of need to any person under this paragraph (n), and if such
skilled nursing facility at any time after the issuance of the certificate of
need, regardless of the ownership of the facility, participates in the Medicaid
program or admits or keeps any patients in the facility who are participating
in the Medicaid program, the State Department of Health shall revoke the
certificate of need, if it is still outstanding, and shall deny or revoke the
license of the skilled nursing facility, at the time that the department
determines, after a hearing complying with due process, that the facility has
failed to comply with any of the conditions upon which the certificate of need
was issued, as provided in this paragraph and in the written agreement by the
recipient of the certificate of need.
The total number of nursing facility beds that may be authorized by any
certificate of need issued under this paragraph (n) shall not exceed sixty (60)
beds. If the certificate of need
authorized under this paragraph is not issued within twelve (12) months after
July 1, 1998, the department shall deny the application for the certificate of
need and shall not issue the certificate of need at any time after the twelve-month
period, unless the issuance is contested.
If the certificate of need is issued and substantial construction of the
nursing facility beds has not commenced within eighteen (18) months after the
effective date of July 1, 1998, the State Department of Health, after a hearing
complying with due process, shall revoke the certificate of need if it is still
outstanding, and the department shall not issue a license for the nursing
facility at any time after the eighteen-month period. Provided, however, that if the issuance of the certificate of
need is contested, the department shall require substantial construction of the
nursing facility beds within six (6) months after final adjudication on the
issuance of the certificate of need.

(o)
The department may issue a certificate of need for the new construction,
addition or conversion of skilled nursing facility beds in Leake County,
provided that the recipient of the certificate of need agrees in writing that
the skilled nursing facility will not at any time participate in the Medicaid
program (Section 43-13-101 et seq.) or admit or keep any patients in the
skilled nursing facility who are participating in the Medicaid program. This written agreement by the recipient of
the certificate of need shall be fully binding on any subsequent owner of the skilled
nursing facility, if the ownership of the facility is transferred at any time
after the issuance of the certificate of need.
Agreement that the skilled nursing facility will not participate in the
Medicaid program shall be a condition of the issuance of a certificate of need
to any person under this paragraph (o), and if such skilled nursing facility at
any time after the issuance of the certificate of need, regardless of the
ownership of the facility, participates in the Medicaid program or admits or
keeps any patients in the facility who are participating in the Medicaid
program, the State Department of Health shall revoke the certificate of need,
if it is still outstanding, and shall deny or revoke the license of the skilled
nursing facility, at the time that the department determines, after a hearing
complying with due process, that the facility has failed to comply with any of
the conditions upon which the certificate of need was issued, as provided in
this paragraph and in the written agreement by the recipient of the certificate
of need. The total number of nursing
facility beds that may be authorized by any certificate of need issued under
this paragraph (o) shall not exceed sixty (60) beds. If the certificate of need authorized under this paragraph is not
issued within twelve (12) months after July 1, 2001, the department shall deny
the application for the certificate of need and shall not issue the certificate
of need at any time after the twelve-month period, unless the issuance is
contested. If the certificate of need
is issued and substantial construction of the nursing facility beds has not
commenced within eighteen (18) months after the effective date of July 1, 2001,
the State Department of Health, after a hearing complying with due process,
shall revoke the certificate of need if it is still outstanding, and the
department shall not issue a license for the nursing facility at any time after
the eighteen-month period. Provided,
however, that if the issuance of the certificate of need is contested, the
department shall require substantial construction of the nursing facility beds
within six (6) months after final adjudication on the issuance of the
certificate of need.

(p)
The department may issue a certificate of need for the construction of a
municipally-owned nursing facility within the Town of Belmont in Tishomingo
County, not to exceed sixty (60) beds, provided that the recipient of the
certificate of need agrees in writing that the skilled nursing facility will
not at any time participate in the Medicaid program (Section 43-13-101 et seq.)
or admit or keep any patients in the skilled nursing facility who are
participating in the Medicaid program.
This written agreement by the recipient of the certificate of need shall
be fully binding on any subsequent owner of the skilled nursing facility, if
the ownership of the facility is transferred at any time after the issuance of
the certificate of need. Agreement that
the skilled nursing facility will not participate in the Medicaid program shall
be a condition of the issuance of a certificate of need to any person under
this paragraph (p), and if such skilled nursing facility at any time after the
issuance of the certificate of need, regardless of the ownership of the
facility, participates in the Medicaid program or admits or keeps any patients
in the facility who are participating in the Medicaid program, the State
Department of Health shall revoke the certificate of need, if it is still
outstanding, and shall deny or revoke the license of the skilled nursing
facility, at the time that the department determines, after a hearing complying
with due process, that the facility has failed to comply with any of the
conditions upon which the certificate of need was issued, as provided in this
paragraph and in the written agreement by the recipient of the certificate of
need. The provision of Section 43-7-193(1)
regarding substantial compliance of the projection of need as reported in the
current State Health Plan is waived for the purposes of this paragraph. If the certificate of need authorized under
this paragraph is not issued within twelve (12) months after July 1, 1998, the
department shall deny the application for the certificate of need and shall not
issue the certificate of need at any time after the twelve-month period, unless
the issuance is contested. If the
certificate of need is issued and substantial construction of the nursing
facility beds has not commenced within eighteen (18) months after July 1, 1998,
the State Department of Health, after a hearing complying with due process,
shall revoke the certificate of need if it is still outstanding, and the
department shall not issue a license for the nursing facility at any time after
the eighteen-month period. Provided,
however, that if the issuance of the certificate of need is contested, the
department shall require substantial construction of the nursing facility beds
within six (6) months after final adjudication on the issuance of the
certificate of need.

(q)
(i) Beginning on July 1, 1999,
the State Department of Health shall issue certificates of need during each of
the next four (4) fiscal years for the construction or expansion of nursing
facility beds or the conversion of other beds to nursing facility beds in each
county in the state having a need for fifty (50) or more additional nursing
facility beds, as shown in the fiscal year 1999 State Health Plan, in the
manner provided in this paragraph (q).
The total number of nursing facility beds that may be authorized by any
certificate of need authorized under this paragraph (q) shall not exceed sixty
(60) beds.

(ii) Subject to the provisions of subparagraph (v), during each of the
next four (4) fiscal years, the department shall issue six (6) certificates of
need for new nursing facility beds, as follows: During fiscal years 2000, 2001 and 2002, one (1) certificate of
need shall be issued for new nursing facility beds in the county in each of the
four (4) Long-Term Care Planning Districts designated in the fiscal year 1999
State Health Plan that has the highest need in the district for those beds; and
two (2) certificates of need shall be issued for new nursing facility beds in
the two (2) counties from the state at large that have the highest need in the
state for those beds, when considering the need on a statewide basis and
without regard to the Long-Term Care Planning Districts in which the counties
are located. During fiscal year 2003,
one (1) certificate of need shall be issued for new nursing facility beds in
any county having a need for fifty (50) or more additional nursing facility
beds, as shown in the fiscal year 1999 State Health Plan, that has not received
a certificate of need under this paragraph (q) during the three (3) previous
fiscal years. During fiscal year 2000,
in addition to the six (6) certificates of need authorized in this
subparagraph, the department also shall issue a certificate of need for new
nursing facility beds in Amite County and a certificate of need for new nursing
facility beds in Carroll County.

(iii) Subject to the provisions of subparagraph (v), the certificate of
need issued under subparagraph (ii) for nursing facility beds in each Long-Term
Care Planning District during each fiscal year shall first be available for
nursing facility beds in the county in the district having the highest need for
those beds, as shown in the fiscal year 1999 State Health Plan. If there are no applications for a
certificate of need for nursing facility beds in the county having the highest
need for those beds by the date specified by the department, then the
certificate of need shall be available for nursing facility beds in other
counties in the district in descending order of the need for those beds, from
the county with the second highest need to the county with the lowest need,
until an application is received for nursing facility beds in an eligible
county in the district.

(iv) Subject to the provisions of subparagraph (v), the certificate of
need issued under subparagraph (ii) for nursing facility beds in the two (2)
counties from the state at large during each fiscal year shall first be
available for nursing facility beds in the two (2) counties that have the
highest need in the state for those beds, as shown in the fiscal year 1999
State Health Plan, when considering the need on a statewide basis and without
regard to the Long-Term Care Planning Districts in which the counties are
located. If there are no applications
for a certificate of need for nursing facility beds in either of the two (2)
counties having the highest need for those beds on a statewide basis by the
date specified by the department, then the certificate of need shall be
available for nursing facility beds in other counties from the state at large
in descending order of the need for those beds on a statewide basis, from the
county with the second highest need to the county with the lowest need, until
an application is received for nursing facility beds in an eligible county from
the state at large.

(v) If a certificate of need is authorized to be issued under this
paragraph (q) for nursing facility beds in a county on the basis of the need in
the Long-Term Care Planning District during any fiscal year of the four-year
period, a certificate of need shall not also be available under this paragraph
(q) for additional nursing facility beds in that county on the basis of the
need in the state at large, and that county shall be excluded in determining
which counties have the highest need for nursing facility beds in the state at
large for that fiscal year. After a
certificate of need has been issued under this paragraph (q) for nursing
facility beds in a county during any fiscal year of the four-year period, a
certificate of need shall not be available again under this paragraph (q) for
additional nursing facility beds in that county during the four-year period,
and that county shall be excluded in determining which counties have the
highest need for nursing facility beds in succeeding fiscal years.

(vi) If more than one (1) application is made for a certificate of need
for nursing home facility beds available under this paragraph (q), in
Yalobusha, Newton or Tallahatchie County, and one (1) of the applicants is a
county-owned hospital located in the county where the nursing facility beds are
available, the department shall give priority to the county-owned hospital in
granting the certificate of need if the following conditions are met:

1. The county-owned hospital fully meets all applicable criteria and
standards required to obtain a certificate of need for the nursing facility
beds; and

2. The county-owned hospital's qualifications for the certificate of
need, as shown in its application and as determined by the department, are at
least equal to the qualifications of the other applicants for the certificate
of need.

(r)
(i) Beginning on July 1, 1999,
the State Department of Health shall issue certificates of need during each of
the next two (2) fiscal years for the construction or expansion of nursing
facility beds or the conversion of other beds to nursing facility beds in each
of the four (4) Long-Term Care Planning Districts designated in the fiscal year
1999 State Health Plan, to provide care exclusively to patients with
Alzheimer's disease.

(ii) Not more than twenty (20) beds may be authorized by any
certificate of need issued under this paragraph (r), and not more than a total
of sixty (60) beds may be authorized in any Long-Term Care Planning District by
all certificates of need issued under this paragraph (r). However, the total number of beds that may
be authorized by all certificates of need issued under this paragraph (r)
during any fiscal year shall not exceed one hundred twenty (120) beds, and the
total number of beds that may be authorized in any Long-Term Care Planning
District during any fiscal year shall not exceed forty (40) beds. Of the certificates of need that are issued
for each Long-Term Care Planning District during the next two (2) fiscal years,
at least one (1) shall be issued for beds in the northern part of the district,
at least one (1) shall be issued for beds in the central part of the district,
and at least one (1) shall be issued for beds in the southern part of the
district.

(iii) The State Department of Health, in consultation with the
Department of Mental Health and the Division of Medicaid, shall develop and
prescribe the staffing levels, space requirements and other standards and
requirements that must be met with regard to the nursing facility beds
authorized under this paragraph (r) to provide care exclusively to patients
with Alzheimer's disease.

(s) The State Department of Health may issue a
certificate of need to a nonprofit skilled nursing facility using the Green
House model of skilled nursing care and located in Yazoo City, Yazoo County,
Mississippi, for the construction, expansion or conversion of not more than
nineteen (19) nursing facility beds.
For purposes of this paragraph (s), the provisions of Section 41-7-193(1)
requiring substantial compliance with the projection of need as reported in the
current State Health Plan and the provisions of Section 41-7-197 requiring a
formal certificate of need hearing process are waived. There shall be no prohibition or
restrictions on participation in the Medicaid program for the person receiving
the certificate of need authorized under this paragraph (s).

(3)
The State Department of Health may grant approval for and issue
certificates of need to any person proposing the new construction of, addition
to, conversion of beds of or expansion of any health care facility defined in
subparagraph (x) (psychiatric residential treatment facility) of Section 41-7-173(h). The total number of beds which may be
authorized by such certificates of need shall not exceed three hundred thirty-four
(334) beds for the entire state.

(a)
Of the total number of beds authorized under this subsection, the
department shall issue a certificate of need to a privately-owned psychiatric
residential treatment facility in Simpson County for the conversion of sixteen
(16) intermediate care facility for the mentally retarded (ICF-MR) beds to
psychiatric residential treatment facility beds, provided that facility agrees
in writing that the facility shall give priority for the use of those sixteen
(16) beds to Mississippi residents who are presently being treated in out-of-state
facilities.

(b)
Of the total number of beds authorized under this subsection, the
department may issue a certificate or certificates of need for the construction
or expansion of psychiatric residential treatment facility beds or the
conversion of other beds to psychiatric residential treatment facility beds in
Warren County, not to exceed sixty (60) psychiatric residential treatment
facility beds, provided that the facility agrees in writing that no more than
thirty (30) of the beds at the psychiatric residential treatment facility will
be certified for participation in the Medicaid program (Section 43-13-101 et
seq.) for the use of any patients other than those who are participating only
in the Medicaid program of another state, and that no claim will be submitted
to the Division of Medicaid for Medicaid reimbursement for more than thirty
(30) patients in the psychiatric residential treatment facility in any day or
for any patient in the psychiatric residential treatment facility who is in a
bed that is not Medicaid-certified.
This written agreement by the recipient of the certificate of need shall
be a condition of the issuance of the certificate of need under this paragraph,
and the agreement shall be fully binding on any subsequent owner of the
psychiatric residential treatment facility if the ownership of the facility is
transferred at any time after the issuance of the certificate of need. After this written agreement is executed,
the Division of Medicaid and the State Department of Health shall not certify
more than thirty (30) of the beds in the psychiatric residential treatment
facility for participation in the Medicaid program for the use of any patients
other than those who are participating only in the Medicaid program of another
state. If the psychiatric residential
treatment facility violates the terms of the written agreement by admitting or
keeping in the facility on a regular or continuing basis more than thirty (30)
patients who are participating in the Mississippi Medicaid program, the State
Department of Health shall revoke the license of the facility, at the time that
the department determines, after a hearing complying with due process, that the
facility has violated the condition upon which the certificate of need was
issued, as provided in this paragraph and in the written agreement.

The State Department of Health, on or
before July 1, 2002, shall transfer the certificate of need authorized under
the authority of this paragraph (b), or reissue the certificate of need if it
has expired, to River Region Health System.

(c)
Of the total number of beds authorized under this subsection, the
department shall issue a certificate of need to a hospital currently operating
Medicaid-certified acute psychiatric beds for adolescents in DeSoto County, for
the establishment of a forty-bed psychiatric residential treatment facility in
DeSoto County, provided that the hospital agrees in writing (i) that the
hospital shall give priority for the use of those forty (40) beds to
Mississippi residents who are presently being treated in out-of-state
facilities, and (ii) that no more than fifteen (15) of the beds at the
psychiatric residential treatment facility will be certified for participation
in the Medicaid program (Section 43-13-101 et seq.), and that no claim will be
submitted for Medicaid reimbursement for more than fifteen (15) patients in the
psychiatric residential treatment facility in any day or for any patient in the
psychiatric residential treatment facility who is in a bed that is not Medicaid-certified. This written agreement by the recipient of
the certificate of need shall be a condition of the issuance of the certificate
of need under this paragraph, and the agreement shall be fully binding on any
subsequent owner of the psychiatric residential treatment facility if the
ownership of the facility is transferred at any time after the issuance of the
certificate of need. After this written
agreement is executed, the Division of Medicaid and the State Department of
Health shall not certify more than fifteen (15) of the beds in the psychiatric
residential treatment facility for participation in the Medicaid program. If the psychiatric residential treatment
facility violates the terms of the written agreement by admitting or keeping in
the facility on a regular or continuing basis more than fifteen (15) patients
who are participating in the Medicaid program, the State Department of Health
shall revoke the license of the facility, at the time that the department
determines, after a hearing complying with due process, that the facility has
violated the condition upon which the certificate of need was issued, as
provided in this paragraph and in the written agreement.

(d)
Of the total number of beds authorized under this subsection, the
department may issue a certificate or certificates of need for the construction
or expansion of psychiatric residential treatment facility beds or the
conversion of other beds to psychiatric treatment facility beds, not to exceed thirty
(30) psychiatric residential treatment facility beds, in either Alcorn,
Tishomingo, Prentiss, Lee, Itawamba, Monroe, Chickasaw, Pontotoc, Calhoun,
Lafayette, Union, Benton or Tippah County.

(e)
Of the total number of beds authorized under this subsection (3) the
department shall issue a certificate of need to a privately-owned, nonprofit
psychiatric residential treatment facility in Hinds County for an eight-bed
expansion of the facility, provided that the facility agrees in writing that
the facility shall give priority for the use of those eight (8) beds to
Mississippi residents who are presently being treated in out-of-state
facilities.

(f)
The department shall issue a certificate of need to a one-hundred-thirty-four-bed
specialty hospital located on twenty-nine and forty-four one-hundredths (29.44)
commercial acres at 5900 Highway 39 North in Meridian (Lauderdale County),
Mississippi, for the addition, construction or expansion of child/adolescent
psychiatric residential treatment facility beds in Lauderdale County. As a condition of issuance of the
certificate of need under this paragraph, the facility shall give priority in
admissions to the child/adolescent psychiatric residential treatment facility beds
authorized under this paragraph to patients who otherwise would require out-of-state
placement. The Division of Medicaid, in
conjunction with the Department of Human Services, shall furnish the facility a
list of all out-of-state patients on a quarterly basis. Furthermore, notice shall also be provided
to the parent, custodial parent or guardian of each out-of-state patient
notifying them of the priority status granted by this paragraph. For purposes of this paragraph, the
provisions of Section 41-7-193(1) requiring substantial compliance with the
projection of need as reported in the current State Health Plan are
waived. The total number of
child/adolescent psychiatric residential treatment facility beds that may be
authorized under the authority of this paragraph shall be sixty (60) beds. There shall be no prohibition or
restrictions on participation in the Medicaid program (Section 43-13-101 et
seq.) for the person receiving the certificate of need authorized under this
paragraph or for the beds converted pursuant to the authority of that
certificate of need.

(4)
(a) From and after July 1, 1993,
the department shall not issue a certificate of need to any person for the new
construction of any hospital, psychiatric hospital or chemical dependency
hospital that will contain any child/adolescent psychiatric or child/adolescent
chemical dependency beds, or for the conversion of any other health care
facility to a hospital, psychiatric hospital or chemical dependency hospital
that will contain any child/adolescent psychiatric or child/adolescent chemical
dependency beds, or for the addition of any child/adolescent psychiatric or
child/adolescent chemical dependency beds in any hospital, psychiatric hospital
or chemical dependency hospital, or for the conversion of any beds of another
category in any hospital, psychiatric hospital or chemical dependency hospital
to child/adolescent psychiatric or child/adolescent chemical dependency beds,
except as hereinafter authorized:

(i) The department may issue certificates of need to any person for any
purpose described in this subsection, provided that the hospital, psychiatric
hospital or chemical dependency hospital does not participate in the Medicaid
program (Section 43-13-101 et seq.) at the time of the application for the
certificate of need and the owner of the hospital, psychiatric hospital or
chemical dependency hospital agrees in writing that the hospital, psychiatric
hospital or chemical dependency hospital will not at any time participate in
the Medicaid program or admit or keep any patients who are participating in the
Medicaid program in the hospital, psychiatric hospital or chemical dependency
hospital. This written agreement by the
recipient of the certificate of need shall be fully binding on any subsequent
owner of the hospital, psychiatric hospital or chemical dependency hospital, if
the ownership of the facility is transferred at any time after the issuance of
the certificate of need. Agreement that
the hospital, psychiatric hospital or chemical dependency hospital will not
participate in the Medicaid program shall be a condition of the issuance of a
certificate of need to any person under this subparagraph (a)(i), and if such
hospital, psychiatric hospital or chemical dependency hospital at any time
after the issuance of the certificate of need, regardless of the ownership of
the facility, participates in the Medicaid program or admits or keeps any
patients in the hospital, psychiatric hospital or chemical dependency hospital
who are participating in the Medicaid program, the State Department of Health
shall revoke the certificate of need, if it is still outstanding, and shall
deny or revoke the license of the hospital, psychiatric hospital or chemical
dependency hospital, at the time that the department determines, after a hearing
complying with due process, that the hospital, psychiatric hospital or chemical
dependency hospital has failed to comply with any of the conditions upon which
the certificate of need was issued, as provided in this subparagraph and in the
written agreement by the recipient of the certificate of need.

(ii) The department may issue a certificate of need for the conversion
of existing beds in a county hospital in Choctaw County from acute care beds to
child/adolescent chemical dependency beds.
For purposes of this subparagraph, the provisions of Section 41-7-193(1)
requiring substantial compliance with the projection of need as reported in the
current State Health Plan is waived.
The total number of beds that may be authorized under authority of this
subparagraph shall not exceed twenty (20) beds. There shall be no prohibition or restrictions on participation in
the Medicaid program (Section 43-13-101 et seq.) for the hospital receiving the
certificate of need authorized under this subparagraph (a)(ii) or for the beds
converted pursuant to the authority of that certificate of need.

(iii) The department may issue a certificate or certificates of need
for the construction or expansion of child/adolescent psychiatric beds or the
conversion of other beds to child/adolescent psychiatric beds in Warren
County. For purposes of this
subparagraph, the provisions of Section 41-7-193(1) requiring substantial
compliance with the projection of need as reported in the current State Health
Plan are waived. The total number of
beds that may be authorized under the authority of this subparagraph shall not
exceed twenty (20) beds. There shall be
no prohibition or restrictions on participation in the Medicaid program
(Section 43-13-101 et seq.) for the person receiving the certificate of need
authorized under this subparagraph (a)(iii) or for the beds converted pursuant
to the authority of that certificate of need.

If by January 1, 2002, there has been no
significant commencement of construction of the beds authorized under this
subparagraph (a)(iii), or no significant action taken to convert existing beds
to the beds authorized under this subparagraph, then the certificate of need
that was previously issued under this subparagraph shall expire. If the previously issued certificate of need
expires, the department may accept applications for issuance of another
certificate of need for the beds authorized under this subparagraph, and may
issue a certificate of need to authorize the construction, expansion or
conversion of the beds authorized under this subparagraph.

(iv) The department shall issue a certificate of need to the Region 7
Mental Health/Retardation Commission for the construction or expansion of
child/adolescent psychiatric beds or the conversion of other beds to
child/adolescent psychiatric beds in any of the counties served by the
commission. For purposes of this
subparagraph, the provisions of Section 41-7-193(1) requiring substantial
compliance with the projection of need as reported in the current State Health
Plan is waived. The total number of
beds that may be authorized under the authority of this subparagraph shall not
exceed twenty (20) beds. There shall be
no prohibition or restrictions on participation in the Medicaid program
(Section 43-13-101 et seq.) for the person receiving the certificate of need
authorized under this subparagraph (a)(iv) or for the beds converted pursuant
to the authority of that certificate of need.

(v) The department may issue a certificate of need to any county
hospital located in Leflore County for the construction or expansion of adult
psychiatric beds or the conversion of other beds to adult psychiatric beds, not
to exceed twenty (20) beds, provided that the recipient of the certificate of
need agrees in writing that the adult psychiatric beds will not at any time be
certified for participation in the Medicaid program and that the hospital will
not admit or keep any patients who are participating in the Medicaid program in
any of such adult psychiatric beds.
This written agreement by the recipient of the certificate of need shall
be fully binding on any subsequent owner of the hospital if the ownership of
the hospital is transferred at any time after the issuance of the certificate
of need. Agreement that the adult
psychiatric beds will not be certified for participation in the Medicaid
program shall be a condition of the issuance of a certificate of need to any
person under this subparagraph (a)(v), and if such hospital at any time after
the issuance of the certificate of need, regardless of the ownership of the
hospital, has any of such adult psychiatric beds certified for participation in
the Medicaid program or admits or keeps any Medicaid patients in such adult
psychiatric beds, the State Department of Health shall revoke the certificate
of need, if it is still outstanding, and shall deny or revoke the license of
the hospital at the time that the department determines, after a hearing
complying with due process, that the hospital has failed to comply with any of the
conditions upon which the certificate of need was issued, as provided in this
subparagraph and in the written agreement by the recipient of the certificate
of need.

(vi) The department may issue a certificate or certificates of need
for the expansion of child psychiatric beds or the conversion of other beds to
child psychiatric beds at the University of Mississippi Medical Center. For purposes of this subparagraph (a)(vi),
the provision of Section 41-7-193(1) requiring substantial compliance with the
projection of need as reported in the current State Health Plan is waived. The total number of beds that may be
authorized under the authority of this subparagraph (a)(vi) shall not exceed
fifteen (15) beds. There shall be no
prohibition or restrictions on participation in the Medicaid program (Section
43-13-101 et seq.) for the hospital receiving the certificate of need
authorized under this subparagraph (a)(vi) or for the beds converted pursuant
to the authority of that certificate of need.

(b)
From and after July 1, 1990, no hospital, psychiatric hospital or
chemical dependency hospital shall be authorized to add any child/adolescent
psychiatric or child/adolescent chemical dependency beds or convert any beds of
another category to child/adolescent psychiatric or child/adolescent chemical
dependency beds without a certificate of need under the authority of subsection
(1)(c) of this section.

(5)
The department may issue a certificate of need to a county hospital in
Winston County for the conversion of fifteen (15) acute care beds to geriatric
psychiatric care beds.

(6)
The State Department of Health shall issue a certificate of need to a
Mississippi corporation qualified to manage a long-term care hospital as
defined in Section 41-7-173(h)(xii) in Harrison County, not to exceed eighty
(80) beds, including any necessary renovation or construction required for
licensure and certification, provided that the recipient of the certificate of
need agrees in writing that the long-term care hospital will not at any time
participate in the Medicaid program (Section 43-13-101 et seq.) or admit or
keep any patients in the long-term care hospital who are participating in the
Medicaid program. This written
agreement by the recipient of the certificate of need shall be fully binding on
any subsequent owner of the long-term care hospital, if the ownership of the
facility is transferred at any time after the issuance of the certificate of
need. Agreement that the long-term care
hospital will not participate in the Medicaid program shall be a condition of
the issuance of a certificate of need to any person under this subsection (6),
and if such long-term care hospital at any time after the issuance of the
certificate of need, regardless of the ownership of the facility, participates
in the Medicaid program or admits or keeps any patients in the facility who are
participating in the Medicaid program, the State Department of Health shall
revoke the certificate of need, if it is still outstanding, and shall deny or
revoke the license of the long-term care hospital, at the time that the
department determines, after a hearing complying with due process, that the
facility has failed to comply with any of the conditions upon which the
certificate of need was issued, as provided in this subsection and in the
written agreement by the recipient of the certificate of need. For purposes of this subsection, the
provision of Section 41-7-193(1) requiring substantial compliance with the
projection of need as reported in the current State Health Plan is hereby
waived.

(7)
The State Department of Health may issue a certificate of need to any
hospital in the state to utilize a portion of its beds for the "swing-bed"
concept. Any such hospital must be in
conformance with the federal regulations regarding such swing-bed concept at
the time it submits its application for a certificate of need to the State
Department of Health, except that such hospital may have more licensed beds or
a higher average daily census (ADC) than the maximum number specified in
federal regulations for participation in the swing-bed program. Any hospital meeting all federal
requirements for participation in the swing-bed program which receives such
certificate of need shall render services provided under the swing-bed concept
to any patient eligible for Medicare (Title XVIII of the Social Security Act)
who is certified by a physician to be in need of such services, and no such
hospital shall permit any patient who is eligible for both Medicaid and
Medicare or eligible only for Medicaid to stay in the swing beds of the
hospital for more than thirty (30) days per admission unless the hospital
receives prior approval for such patient from the Division of Medicaid, Office
of the Governor. Any hospital having
more licensed beds or a higher average daily census (ADC) than the maximum
number specified in federal regulations for participation in the swing-bed
program which receives such certificate of need shall develop a procedure to
insure that before a patient is allowed to stay in the swing beds of the
hospital, there are no vacant nursing home beds available for that patient
located within a fifty-mile radius of the hospital. When any such hospital has a patient staying in the swing beds of
the hospital and the hospital receives notice from a nursing home located
within such radius that there is a vacant bed available for that patient, the
hospital shall transfer the patient to the nursing home within a reasonable
time after receipt of the notice. Any
hospital which is subject to the requirements of the two (2) preceding
sentences of this subsection may be suspended from participation in the swing-bed
program for a reasonable period of time by the State Department of Health if
the department, after a hearing complying with due process, determines that the
hospital has failed to comply with any of those requirements.

(8)
The Department of Health shall not grant approval for or issue a
certificate of need to any person proposing the new construction of, addition
to or expansion of a health care facility as defined in subparagraph (viii) of
Section 41-7-173(h). (9)
The Department of Health shall not grant approval for or issue a
certificate of need to any person proposing the establishment of, or expansion
of the currently approved territory of, or the contracting to establish a home
office, subunit or branch office within the space operated as a health care
facility as defined in Section 41-7-173(h)(i) through (viii) by a health care
facility as defined in subparagraph (ix) of Section 41-7-173(h).

(10)
Health care facilities owned and/or operated by the state or its
agencies are exempt from the restraints in this section against issuance of a
certificate of need if such addition or expansion consists of repairing or
renovation necessary to comply with the state licensure law. This exception shall not apply to the new
construction of any building by such state facility. This exception shall not apply to any health care facilities
owned and/or operated by counties, municipalities, districts, unincorporated
areas, other defined persons, or any combination thereof.

(11)
The new construction, renovation or expansion of or addition to any
health care facility defined in subparagraph (ii) (psychiatric hospital),
subparagraph (iv) (skilled nursing facility), subparagraph (vi) (intermediate
care facility), subparagraph (viii) (intermediate care facility for the
mentally retarded) and subparagraph (x) (psychiatric residential treatment
facility) of Section 41-7-173(h) which is owned by the State of Mississippi and
under the direction and control of the State Department of Mental Health, and
the addition of new beds or the conversion of beds from one category to another
in any such defined health care facility which is owned by the State of
Mississippi and under the direction and control of the State Department of
Mental Health, shall not require the issuance of a certificate of need under
Section 41-7-171 et seq., notwithstanding any provision in Section 41-7-171 et
seq. to the contrary.

(12)
The new construction, renovation or expansion of or addition to any
veterans homes or domiciliaries for eligible veterans of the State of
Mississippi as authorized under Section 35-1-19 shall not require the issuance
of a certificate of need, notwithstanding any provision in Section 41-7-171 et
seq. to the contrary.

(13)
The new construction of a nursing facility or nursing facility beds or
the conversion of other beds to nursing facility beds shall not require the
issuance of a certificate of need, notwithstanding any provision in Section 41-7-171
et seq. to the contrary, if the conditions of this subsection are met.

(a)
Before any construction or conversion may be undertaken without a
certificate of need, the owner of the nursing facility, in the case of an
existing facility, or the applicant to construct a nursing facility, in the
case of new construction, first must file a written notice of intent and sign a
written agreement with the State Department of Health that the entire nursing
facility will not at any time participate in or have any beds certified for
participation in the Medicaid program (Section 43-13-101 et seq.), will not
admit or keep any patients in the nursing facility who are participating in the
Medicaid program, and will not submit any claim for Medicaid reimbursement for
any patient in the facility. This
written agreement by the owner or applicant shall be a condition of exercising
the authority under this subsection without a certificate of need, and the
agreement shall be fully binding on any subsequent owner of the nursing
facility if the ownership of the facility is transferred at any time after the
agreement is signed. After the written
agreement is signed, the Division of Medicaid and the State Department of
Health shall not certify any beds in the nursing facility for participation in
the Medicaid program. If the nursing
facility violates the terms of the written agreement by participating in the
Medicaid program, having any beds certified for participation in the Medicaid
program, admitting or keeping any patient in the facility who is participating
in the Medicaid program, or submitting any claim for Medicaid reimbursement for
any patient in the facility, the State Department of Health shall revoke the license
of the nursing facility at the time that the department determines, after a
hearing complying with due process, that the facility has violated the terms of
the written agreement.

(b)
For the purposes of this subsection, participation in the Medicaid
program by a nursing facility includes Medicaid reimbursement of coinsurance
and deductibles for recipients who are qualified Medicare beneficiaries and/or
those who are dually eligible. Any
nursing facility exercising the authority under this subsection may not bill or
submit a claim to the Division of Medicaid for services to qualified Medicare
beneficiaries and/or those who are dually eligible.

(c)
The new construction of a nursing facility or nursing facility beds or
the conversion of other beds to nursing facility beds described in this section
must be either a part of a completely new continuing care retirement community,
as described in the latest edition of the Mississippi State Health Plan, or an
addition to existing personal care and independent living components, and so
that the completed project will be a continuing care retirement community,
containing (i) independent living accommodations, (ii) personal care beds, and
(iii) the nursing home facility beds.
The three (3) components must be located on a single site and be
operated as one (1) inseparable facility.
The nursing facility component must contain a minimum of thirty (30)
beds. Any nursing facility beds
authorized by this section will not be counted against the bed need set forth in
the State Health Plan, as identified in Section 41-7-171 et seq.

This subsection (13) shall stand repealed
from and after July 1, 2005.

(14)
The State Department of Health shall issue a certificate of need to any
hospital which is currently licensed for two hundred fifty (250) or more acute
care beds and is located in any general hospital service area not having a
comprehensive cancer center, for the establishment and equipping of such a
center which provides facilities and services for outpatient radiation oncology
therapy, outpatient medical oncology therapy, and appropriate support services
including the provision of radiation therapy services. The provision of Section 41-7-193(1)
regarding substantial compliance with the projection of need as reported in the
current State Health Plan is waived for the purpose of this subsection.

(15)
The State Department of Health may authorize the transfer of hospital
beds, not to exceed sixty (60) beds, from the North Panola Community Hospital
to the South Panola Community Hospital.
The authorization for the transfer of those beds shall be exempt from
the certificate of need review process.

(16)
The State Department of Health shall issue any certificates of need
necessary for Mississippi State University and a public or private health care
provider to jointly acquire and operate a linear accelerator and a magnetic
resonance imaging unit. Those
certificates of need shall cover all capital expenditures related to the project
between Mississippi State University and the health care provider, including,
but not limited to, the acquisition of the linear accelerator, the magnetic
resonance imaging unit and other radiological modalities; the offering of
linear accelerator and magnetic resonance imaging services; and the cost of
construction of facilities in which to locate these services. The linear accelerator and the magnetic
resonance imaging unit shall be (a) located in the City of Starkville,
Oktibbeha County, Mississippi; (b) operated jointly by Mississippi State
University and the public or private health care provider selected by
Mississippi State University through a request for proposals (RFP) process in
which Mississippi State University selects, and the Board of Trustees of State
Institutions of Higher Learning approves, the health care provider that makes
the best overall proposal; (c) available to Mississippi State University for
research purposes two-thirds (2/3) of the time that the linear accelerator and
magnetic resonance imaging unit are operational; and (d) available to the
public or private health care provider selected by Mississippi State University
and approved by the Board of Trustees of State Institutions of Higher Learning
one-third (1/3) of the time for clinical, diagnostic and treatment purposes. For purposes of this subsection, the
provisions of Section 41-7-193(1) requiring substantial compliance with the
projection of need as reported in the current State Health Plan are waived.

(17)
Nothing in this section or in any other provision of Section 41-7-171 et
seq. shall prevent any nursing facility from designating an appropriate number
of existing beds in the facility as beds for providing care exclusively to
patients with Alzheimer's disease.

SECTION
2. This act shall take effect and
be in force from and after its passage.